1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
ankoles [38]
2 years ago
5

With a(n) _______, the full amount of the loan is received when the contract is signed, but only the interest is paid over the l

ife of the loan. The principal is then paid on the date that the loan is due.
retirement loan

balloon loan

line of credit

installment loan
Business
1 answer:
Vikentia [17]2 years ago
6 0

Answer: Balloon Loan

A balloon loan is a type of loan where the final payment is usually much larger than the payment preceding it.  

In a balloon loan, the entire loan amount is given to the borrower as soon as the loan is approved and the contract is signed.

The interest falls due and is paid during the life of the loan.  

The principal however, is paid as a balloon payment on the final day of the life of the loan.


You might be interested in
What are three advantages and three disadvantages of globalization
umka21 [38]
Living dying survival food water animals according to my ficisallogu Shri
5 0
2 years ago
The owner of a bicycle repair shop forecasts revenues of $160,000 a year. Variable costs will be $50,000, and rental costs for t
elena55 [62]

Answer and Explanation:

Revenue                              $160,000

Rental Costs                      $30,000

Variable Costs                      $50,000

Depreciation                      $10,000

Profit before tax              $70,000

Tax(35%)                              $24,500

Net Income                      $45,500

Operating cash flow

a) Dollars in minus dollars out

Revenue ? rental costs ? variable costs ? taxes = $160000 -$30000-$50000-$24,500 = $55,500

b) Adjusted accounting profits

Operating cash flow = Net income + depreciation = $45,500 + $10,000 = $55,500

c) Add back depreciation tax shield

Operating cash flow = [(Revenue ? rental costs ? variable costs) × (1 ? 0.35)] + (depreciation × 0.35)]

= ($160,000-$30000-$50,000)*0.65 + $10,000*0.35 = $55,500

Yes, the above approaches result in the same value for cash flow

4 0
3 years ago
A company has inventory that cost $50,000. Its scrap value is $65,000. The inventory could be sold for $150,000 if manufactured
Lemur [1.5K]

Answer:

It is more profitable to continue processing.

Explanation:

Giving the following information:

A company has inventory that cost $50,000. Its scrap value is $65,000. The inventory could be sold for $150,000 if manufactured further at an additional cost of $80,000.

Sell for scrap= 65,000 - 50,000= 15,000

Continue processing= 150,000 - 80,000 - 50,000= 20,000

7 0
2 years ago
Find out equilibrium price and output for the following market condition.
Ierofanga [76]

Answer:

At equilibrium demand is equal to supply therefore  

Qd=Qs

50-2P=3P

By collecting like terms

50=3P+2P

50=5P

P=10

THEREFORE  equilibrium price  is 10

Explanation:

6 0
3 years ago
If a country has a trade surplus, then the country Group of answer choices imports as much as it exports imports more than it ex
tekilochka [14]

Answer:

exports more than it imports

Explanation:

Trade surplus is when export exceeds import.

Export is the sum total of goods and services sold to other countries. For example, if clothes are sold to China, it constitutes export.

Import is the sum total of goods and services bought from other countries. If a laptop manufactured in China is sold to someone in the US, this is import

Trade deficit is when a country imports more than it exports

4 0
3 years ago
Other questions:
  • Starbucks is expanding its global operations into South America in spite the real probability of civil wars and terrorist activi
    7·1 answer
  • What type of cost is the cost of goods or services sold? A. Salaried B. Markup C. Variable D. Fixed
    6·2 answers
  • Uh hi . . . . . . . . BANNNA BANNNABANNNA BANNNABANNNA BANNNA BANNNA BANNNA :) B)
    15·2 answers
  • The importance of financial managers to firms with large cash inflows is greater than for firms with smaller cash flows. true fa
    13·1 answer
  • D. When incorporating, it is important to consider whether or not the company will conduct business internationally. 1. Summariz
    9·1 answer
  • Besides the shift of jobs to foreign countries, outsourcing has other drawbacks such as ______
    8·1 answer
  • At the end of the current year, $12,040 of fees have been earned but have not been billed to clients.
    15·1 answer
  • QUESTION 10 of 10: Your business owns an old truck. Liability insurance is required; collision is optional. Collision insurance
    8·2 answers
  • What are the principles of Csr
    11·1 answer
  • What is a work bench​
    9·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!